For a time, Microsoft held nearly a quarter of the fledgling smartphone market (circa 2004). But it failed to keep up with rivals like Google Inc. (GOOG) and Apple, Inc. (AAPL), sticking for years with the increasingly dated Windows Mobile platform. In November 2010, Microsoft launched a new operating system, Windows Phone, which was ambitious but lacked strong third-party hardware support. Today Microsoft is still struggling to sell the market on its latest mobile OS -- Windows Phone 8.

Bill Gates in the interview calls Microsoft's former cellphone strategy "clearly a mistake", remarking, "There's a lot of things like cellphones where we didn't get out in the lead early. We didn't miss cellphones, but the way that we went about it didn't allow us to get the leadership."

The tech icon says that both he and current CEO (and close friend) Steve Ballmer are both incredibly "self-critical". He comments, "He [Ballmer] and I are not satisfied that in terms of breakthrough things that we're doing everything possible."

Steve Ballmer's company has struggled in the mobile era, since Mr. Gates' retirement.
[Image Source: SFGate]

Microsoft is reportedly aiming to unify the Windows and Windows Phone platforms under one consistent set of mostly overlapping APIs and user interface themes, to allow users to feel more comfortable with both form factors, and to help developers save time deploying cross-platform apps. The first unified release, Windows Blue, may land late this summer.

Microsoft isn't visionary at all, but not all people want visionary but they do want a company that will support their product. Microsoft's history is full of abandon-ware, leaving people in the lurch desperately hoping for an upgrade or an update which will never come.

Wait Microsoft is not visionary? Developing an ecosystem and interface that scales from phone and tablet up to large screen and table top surfaces all with the programming tools (often given for free) to back it up.

What does android have? A race to have more cores in every phone so we don’t have to reboot them every day? Handsets with abandoned versions of the OS.

What does iOS have for vision? A skeuomorphic leather calendar and the same app grid we’ve had from the beginning.

Look at user comments. Microsoft brings a new vision of the interface and people complain. It’s too hard to learn and at the same time looks like a child’s toy. They can’t win because apparently the consumer is too lazy to invest 20 minutes in learning a new interface and at the same time far less developed than their own children.

quote: Wait Microsoft is not visionary? Developing an ecosystem and interface that scales from phone and tablet up to large screen and table top surfaces all with the programming tools (often given for free) to back it up.

What does android have? A race to have more cores in every phone so we don’t have to reboot them every day? Handsets with abandoned versions of the OS.

What does iOS have for vision? A skeuomorphic leather calendar and the same app grid we’ve had from the beginning.

Look at user comments. Microsoft brings a new vision of the interface and people complain. It’s too hard to learn and at the same time looks like a child’s toy. They can’t win because apparently the consumer is too lazy to invest 20 minutes in learning a new interface and at the same time far less developed than their own children.

I think that Microsoft should be applauded for being truly innovative with Windows Phone rather than just lamely copying iOS like Android. I have only briefly played with my brother's Nokia Windows phone and it seemed very nice, although not my cup of tea.

But in the end whether Microsoft's phone is OS is best or not is moot. Microsoft so bungled the strategy that it is now left with what likes an insurmountable mountain to climb just to get into contention in the mobile device market. I fear Surface and Windows 8 was a blunder in the tablet space. I will be very surprised if Microsoft end up having any real presence of consequence in the mobile device markets.